Local Government, Environmental Affairs and Development Planning

Question by: 
Hon Derrick America
Answered by: 
Hon Anton Bredell
Question Number: 
13
Question Body: 

With regard to the recently announced amount of more than R80 million released by the Provincial Treasury to his Department:

  1. What is the exact amount that his Department has received from the Provincial Treasury, (b) what is the purpose of this allocation, (c) what are the details of his Department’s plan to spend this money and (d) what is the expected time frame for (i) this expenditure to take place and (ii) implementation to commence?
Answer Body: 
  1. Once the Gazette has been published the Department of Local Government expects to receive R 88.815 million from Provincial Treasury
  1.  The Grant provides a financial contribution to municipalities towards the purchase and installation of back-up energy supply (which may include generators, renewable power sources, batteries and all ancillary costs associated with the installation i.e.: switch gear, safe keeping, caging etc) for water and wastewater infrastructure as an immediate response to the prolonged loadshedding, thereby mitigating the impact on the provision of basic services and potential health risks.
  1. The following is the Department’s implementation plan to spend the allocation:
  • Each Municipality must prepare a business plan signed by the Accounting Officer that contains the following special requirements:
  • Certificates of Commitment completed by the accounting officer to procure and effectively operate, maintain, and handle all ancillary costs (operational costs) associated with their respective generators.
  • A summary of the amount spent by the municipality to mitigate the risk of loadshedding.
  • The business plans will detail the following:
  • Project scope (a consolidated list of critical infrastructure installations and energy supply requirements)
  • Technical design specifications
  • Output indicators
  • Outcomes
  • Key activities
  • Implementation strategy
  • Timeframes
  • Estimated costs & cash flows
  • Monitoring and reporting

 

  • Vetted Transfer Payment Agreements (TPAs) will be signed between the municipalities and the HOD of the Department of Local Government.
  • Transfer payments schedules to municipalities shall be in accordance with the TPA between the Department of Local Government and Municipality 

          The expected time frames:

  1. The expenditure is expected to take place at least two months or thereabout from the date of disbursement of the allocated funds to the municipalities.
  2. The implementation is expected to commence as soon as the gazette has been published.                              

 

Date: 
Friday, February 3, 2023
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